One of the first things any potential customer will look at when considering a product is the price. With almost everything under the sun available online, the chances are that your product – even with a fine margin of profit – is undercut by another company. The competing product may be of inferior quality or it may be comparable, but either way, you need to find a way to convince the customer to choose yours over theirs. There are a number of ways to approach this, some based on long term strategy of rapport and brand recognition, some based on sales technique and marketing. If you don’t want your price to be an obstacle to your sales, check out some of the following ideas.

A problem-solving product

The phrase ‘value for money’ doesn’t always equate to the cheapest on the market. People will attach value to – and pay for – solutions to their problems. It’s your task to identify their problem and demonstrate how your product can solve it. Rather than focus on your product’s features in your pitch, talk about the benefits to the end user. If the customer has tried cheaper products and found them inferior and not a solution to their issues your conversion will be easier. 

Have a product you believe in

If you’re selling your product at a premium price it needs to be worth the money, and you need to believe in it. That means if there are less expensive items similar or the same as yours on the market, your product must be better – higher quality of materials and/or craftsmanship, more features, a better fit for its intended use. Having such a product also means you should stay firm on the price – if the price is high for a reason you should believe in its value, and don’t offer discounts just because there are budget options competing for your business. 

Raise your brand awareness

A customer is more likely to buy from a brand they recognise, and will see the brand as a guarantee of quality that justifies the higher price. This may mean a more general marketing campaign to establish your company’s logo and information in the area – physical or online – you’re targeting with your marketing campaign. Once you have established what your product offers, raising your profile is a logical next step.

Freebies and promotional materials

A good way to establish your brand is to send out promotional materials and free items to existing or potential customers. If you’re handing out a goodie bag at a trade show or sending items through the post you should think carefully about what you are giving away. It’s been shown that people prefer useful items over decorative trinkets. Something useful such as a diary or notebook will mean your branding is carried around to meetings and becomes a familiar sight. Make sure your goodies are of good quality – it says a lot about your brand, and cheap items reflect badly on your business. 

Know your customers

It’s also to remember that people’s circumstances change – a good example of this is when new parents are looking for a more appropriate car – the best option may be more expensive, but if you focus on the benefits that the features provide in real terms they will be more likely to open their wallets. Be aware of your demographic and the current – and future – issues they may be facing. Also – don’t assume that your customers won’t be prepared to pay premium prices for the premium product or service you’re offering. 

Upselling

When you sell a product it’s likely that other products will suggest themselves. Take a barbecue for example – the chances are a buyer will gravitate towards accessories such as a spatula or a meat fork. Likewise, suggesting a more expensive product than the base level one works along the same lines. As before, identify your customers needs and offer the best package for them. Upselling isn’t a chance to get one over on the customer in order to turn a profit – it should be a cooperative process where each party is satisfied by the outcome. 

Expensive products are more difficult to sell than cheaper ones. But offering real value rather than a low price tag, getting to know your customers, and worrying more about meeting their needs than stacking up orders is all part of an effective marketing and sales technique.

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